Stock Movers: Lowe's, Target Corp., TJX

Scott Peters
20 Aug, 2025
New York City

TJX Companies Inc. inched higher 2.2% to $139.24, and the off-price apparel and home fashion retailer reported a 9% increase in its earnings in the latest quarter.

Consolidated revenue in the fiscal second quarter ending on August 2 increased 4% to $14.4 billion from $13.5 billion, net income jumped to $1.2 billion from $1.1 billion, and diluted earnings per share rose to $1.10 from 96 paise a year ago.

Consolidated comparable same-store sales rose 4% from a year ago, surpassing the management's expectations. 

Comparable store sales at the U.S. Marmaxx locations, which include Marshalls and TJ Maxx stores, rose 5% compared to 3%; Home Goods slowed to 2% from 5%; and in Canada eased to 2% from 9% a year ago, respectively. 

During the second quarter, TJX returned a total of $1.0 billion to shareholders through share repurchases and dividends, including the repurchase of 4.1 million shares for $515 million, and paid $474 million in shareholder dividends.

During the first half of fiscal 2026, TJX returned a total of $2.0 billion to shareholders through share repurchases and dividends, including the repurchase of 9.2 million shares for $1.1 billion, and paid $894 million in shareholder dividends.

TJX guided fiscal third-quarter consolidated comparable sales to increase between 2% and 3%, with a pretax profit margin between 12.0% and 12.1%, and diluted earnings per share between $1.17 and $1.19 a quarter ago.

TJX guided full-year consolidated comparable sales to increase by 3%, with a pretax profit margin between 11.4% and 11.5%, and diluted earnings per share between $4.52 and $4.57 a year ago.

The company projects share repurchases between $2.0 and $2.5 billion during the fiscal year ending January 31, 2026.

Lowe's Companies Inc. rose 2.5% to $264.13, and the home improvement retailer reported a rise in net income in the second quarter.

Consolidated revenue inched higher to $24 billion from $23.6 billion, net income climbed to $2.40 billion from $2.38 billion, and diluted earnings per share soared to $4.28 from $4.18 a year ago.

During the quarter, the company invested $1.3 billion for the acquisition of Artisan Design Group and paid $645 million in dividends.

Lowe's estimated full-year total sales to be between $84.5 billion and $85.5 billion, comparable sales to increase by 1%, and diluted earnings per share to be between $12.10 and $12.35, with the effective tax rate to be approximately 24.5% and the operating margin to range between 12.1% and 12.2% a year earlier, respectively.

Target Corp. plunged 9.5% to $96.90 after the big-box retailer reported a decline in sales in the second quarter, and same-store sales and consumer transactions also declined. 

Consolidated revenue in the fiscal second quarter ending on August 2 edged down 0.9% to $25.2 billion from $25.4 billion, net income plunged 22% to $935 million from $1.2 billion, and diluted earnings per share fell to $2.06 from $2.58 a year ago.

During the second quarter, Target increased dividends per share by 1.8% and paid $509 million to its shareholders. 

Comparable sales declined 1.9% in the fiscal second quarter, driven by a 3.2% drop in comparable store sales, partially offset by a 4.3% increase in comparable digital sales.

For the fiscal year, the company retained its outlook of a single-digit decline in sales and earnings per share between $8.0 and $10.0.

The retailer estimated adjusted earnings per share, which excludes gains from litigation settlements in the first quarter, to fall between $7.0 and $9.0.

In addition, the company announced that the longtime CEO Brian Cornell would retire in February, and chief operating officer Michael Fiddelke, a two-decade veteran at the company, will assume the post on February 1.